Devon Energy has issued new 2026 production guidance following its merger with Coterra Energy, outlining how the combined company plans to concentrate capital on high-return assets with an emphasis on the Permian Basin. The company expects full-year average oil output of 490,000 to 510,000 barrels per day and total production of 1.36 to 1.41 million barrels of oil equivalent per day. More than 60% of an expected US$4.9 billion capital budget is directed to the Permian Basin, while management plans to return up to 70% of free cash flow through dividends and an US$8 billion buyback program. The roadmap also highlights a continued focus on shareholder returns through a mix of base dividends, potential variable payouts, and share repurchases. Investors will be watching whether Devon Energy keeps actual production within the 2026 guidance ranges while holding capital spending around US$4.9 billion and maintaining its focus on the Permian.
Devon Energy CorporationDevon Energy issued 2026 production guidance post-Coterra merger, with a $4.9B capital budget focused on high-return Permian assets and a $8B buyback program, signaling strong shareholder returns.